DHI Group, Inc. (DHX) stock analysis
Close on Nov 13, 2026Market cap $191.50MP/E 23.2Yield –
StockData Score
Prices as of Nov 13, 2026How the score works
Mixed12 of 30 checks passed
DHI passes 12 of the 30 checks behind our score; 8 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 6/6
- Growth
- 0/6
- Past performance
- 3/6
- Financial health
- 3/6
- Dividend
- 0/6
What stands out
Margin of safety over 20%
The price is 36.3% below fair value, more than the 20% cushion we look for.
Trading below fair value
The share price of $4.41 is below our fair value estimate of $6.93.
Low debt
Debt is 32.0% of shareholders' equity, under the 40% we consider low.
Interest well covered
Operating income covers interest expense 6.1 times.
What to watch
Return on equity under 15%
Return on equity was 8.3% over the last twelve months and averaged -6.0% over five years; we look for 15% on both.
Return on capital under 10%
Return on invested capital was 8.4%, below the 10% that usually covers the cost of capital.
Revenue growing under 10% a year
Revenue grew -5.1% a year over the last three fiscal years, short of the 10% we look for.
Bankruptcy risk in the grey zone
The Altman Z-score is 2.16; above 3 is the safe zone and below 1.8 the distress zone.
Valuation6/6
P/E below its 5-year median
DHI's P/E of 23.2 is below its own 5-year median of 52.9.
P/E below the industry
DHI's P/E of 23.2 is below the Miscellaneous Business Services median of 25.6.
EV/EBITDA below its 5-year median
DHI's EV/EBITDA of 15.2 is below its 5-year median of 31.0.
P/B below the industry
DHI's price-to-book of 2.04 is below the Miscellaneous Business Services median of 2.48.
Trading below fair value
The share price of $4.41 is below our fair value estimate of $6.93.
Margin of safety over 20%
The price is 36.3% below fair value, more than the 20% cushion we look for.
Growth0/6
Revenue growing under 10% a year
Revenue grew -5.1% a year over the last three fiscal years, short of the 10% we look for.
EPS growth over 3 years
Needs positive EPS three years ago and today.
Earnings acceleration
Needs positive net income now, a year ago and five years ago.
Growing slower than the industry
Revenue grew -5.0% over the last twelve months; the Miscellaneous Business Services median is 9.8%.
Guidance lowered
DHI lowered its full-year full-year Adjusted EBITDA margin guidance for Dice to 24% outlook on Aug 5, 2026.
Gross margin slipping
Gross margin was 82.1% over the last twelve months, against 84.6% a year earlier.
Past performance3/6
Return on equity under 15%
Return on equity was 8.3% over the last twelve months and averaged -6.0% over five years; we look for 15% on both.
Return on capital under 10%
Return on invested capital was 8.4%, below the 10% that usually covers the cost of capital.
Return on equity above the industry
DHI's return on equity of 8.3% is above the Miscellaneous Business Services median of 6.8%.
Earnings over 5 years
Needs positive net income five years ago and in the latest year.
Net margin above its 5-year average
Net margin was 6.3% over the last twelve months, against a 5-year average of -6.0%.
Net margin above the industry
DHI's net margin of 6.3% is above the Miscellaneous Business Services median of 4.1%.
Financial health3/6
Low debt
Debt is 32.0% of shareholders' equity, under the 40% we consider low.
Debt rising against equity
Debt to equity rose from 15.4% five years ago to 32.0%.
Debt covered by cash flow
Operating cash flow over the last twelve months equals 96.4% of total debt.
Interest well covered
Operating income covers interest expense 6.1 times.
Short-term assets don't cover short-term debts
Current assets are 0.42 times current liabilities.
Bankruptcy risk in the grey zone
The Altman Z-score is 2.16; above 3 is the safe zone and below 1.8 the distress zone.
Dividend0/6
No dividend
DHI has not paid a dividend in the last twelve months.
Yield against Treasuries
No dividend.
Yield against the market
No dividend.
Dividend stability
No dividend.
Earnings cover
No dividend.
Cash-flow cover
No dividend.
Fair value
How we estimate itOur estimate per share
$6.93
The share price is 36% below this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| P/E | 39.3× | 52.9× | 25.6× | $7.47 | 47% |
| EV/EBITDA | 23.3× | 31.0× | 15.5× | $7.10 | 41% |
| P/B | 1.9× | 1.4× | 2.5× | $4.17 | 12% |
| Earnings powerleft out, too far from the others | 9.8% cost of equity | – | – | $1.72 | – |
| Fair value | $6.93 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/E at month end
- Own 5-year median 52.9
- Miscellaneous Business Services median 25.6
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
High risk
- Average value traded per day
- $1.10M
- Value traded per 1% price move
- $403.01K
Downside
Medium risk
- Typical loss in a bad month
- 16.8%
- Volatility (annualized)
- 76%
- Sharpe ratio, 1 year
- 1.95
- Beta to the S&P 500 (5Y)
- 0.95
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2011 to 2025
Gross margin
Operating margin
Net margin
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | -9.9% | -5.1% | +2.8% | -6.8% | |
| Gross profit | -11.1% | -6.4% | +2.2% | -6.9% | |
| Free cash flow | +93.9% | -8.6% | +39.8% | -12.8% |
Returns and balance sheet
10 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2016 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | -4.5% | -20.8% | -12.9% | |
| Return on assets | -1.6% | -11.6% | -6.6% | |
| Current ratio | 0.65 | 0.51 | 0.44 | |
| Debt to equity | 0.82 | 0.15 | 0.32 | |
| Interest coverage | 1.0× | -39.0× | -4.6× | |
| Capex to revenue | 5.2% | 14.5% | 5.7% | |
| Diluted shares | 48M | 48M | 45M |
Where the cash went
Fiscal 2021 to 2025, five years combined
DHI generated $128.11M from operations and spent $124.27M on capital expenditure, dividends and share buybacks. 59% of that went back into the business.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | -10.6% | 0.62× | 1.96× | -12.9% |
| FY2024 | 0.2% | 0.64× | 2.01× | 0.2% |
| FY2023 | 2.3% | 0.67× | 2.11× | 3.3% |
| FY2022 | 2.8% | 0.67× | 2.01× | 3.8% |
| FY2021 | -24.8% | 0.52× | 1.90× | -24.4% |
| FY2020 | -27.0% | 0.43× | 1.80× | -20.8% |
| FY2019 | 10.7% | 0.44× | 1.75× | 8.2% |
| FY2018 | 4.4% | 0.58× | 1.99× | 5.2% |
| FY2017 | 7.7% | 0.69× | 2.56× | 13.5% |
| FY2016 | -2.4% | 0.67× | 2.80× | -4.5% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
- ProfitableNet income above zero-$13.51M
- Cash generatingOperating cash flow above zero$21.10M
- Return on assets improvedROA up on the prior year0.1% → -6.1%
- Earnings backed by cashOperating cash flow above net income$21.10M vs -$13.51M
- Less leverageLong-term debt to assets fell14.5% → 15.9%
- Better liquidityCurrent ratio rose0.47 → 0.44
- No dilutionShare count did not rise45M → 45M
- Gross margin improvedGross margin up on the prior year85.74% → 84.66%
- More efficientAsset turnover rose0.63 → 0.58
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